As the most isolated place in the world, there’s one particularly important industry when it comes to gauging the strength of Maui’s economy. You’ve probably guessed, it’s the airline industry. Not only do the airlines provide passengers with the quickest transportation to and from the island, but they also provide us with a way to assess the demand for business and leisure travel, and everything in between. Both have an enormous impact on our economy. That’s why it’s worth checking airline statistics on the number of Maui flights, the percentage of seats filled, and whether airlines are adding new flights or terminating existing flights.
We’ve come a long way from those discouraging recession conditions, and the addition of new flights has become the trend. Delta Air Lines is a perfect example, with the new non-stop service it will add from Seattle’s Tacoma International Airport to Maui’s Kahului Airport. Service is scheduled to begin in December. Interestingly, the airline is also adding flights to other beach and ski destinations, but the beach destination flights are expected to be offered only seasonally. It looks like the Maui service is the exception. Evidently, Delta’s executives and analysts believe that Maui will require more consistent service than their other leisure destinations.
This decision was made because Maui’s tourism industry is strong, and as a prospective Maui home owner, you can use information like this to help you make your own informed decisions. Many home buyers are opting for a full-time residence on the island, while others are making Maui real estate investments by renting out their new properties. Which trend is more prevalent? The Realtors Association of Maui reported that 45% of real estate sales over the 12 months prior to May were made with cash. With so many properties being bought outright, it’s safe to assume that a good portion of those are being used as long-term rentals, or vacation rentals. Savvy investors keep an eye on all economic indicators when making decisions like these, and airline performance is a big one.
If you need assistance finding and purchasing the right Maui property, that’s where we can lend you our expertise. You’ll find our contact information at the bottom of the page. We hope you’ve found this information helpful. Mahalo for reading!
mauiluxuryrealestateteam.com – By Robert J. Cartwright, Principal Broker